Citi Sees Catalyst for Baidu as AI Cloud Revenue Grows
A Citi update highlights growth in Baidu’s AI infrastructure business, citing RMB 12.5 billion in core AI-powered revenue for Q2 2026, up 25% year over year, and AI cloud infrastructure revenue up 50% to RMB 7.3 billion. GPU Cloud revenue rose 283% as public-cloud AI computing demand increased. Despite total revenue down 4% to RMB 31.3 billion, Citi reiterates a Buy rating with a $166 price target and flags possible Stock Connect eligibility as a catalyst.